Risk Assessment (E) Working Group
Conference Calls

The Risk Assessment Working Group held two conference calls (July 18 and August 29) and conducted business via e-mail (August 10) since the Summer National Meeting. During these meetings, the Working Group:

• Discussed the request it had received from the Principles Based Reserving Working Group. The request discussed the Working Group’s exposure of life/health principles related to the principles-based reserving initiative and the NAIC actions needed to complete the initiative. A preliminary response was created by NAIC staff prior to this call and the members of the Working Group revised the response as was deemed necessary.

• Approved the proposed response to the Principles Based Reserving Working Group through an e-mail vote.

• Discussed the possibility of holding roundtable discussions with industry. Several options were discussed including holding roundtables at two of the quarterly National Meetings, holding two meetings each year at the NAIC offices in Kansas City, and holding one meeting at the Financial Summit and another at a National Meeting each year. The Working Group discussed having the first roundtable discussion at the Financial Summit in November. However, at the time of the call, no topics had been received from industry for discussion. On the call, several interested parties expressed their desire to have a roundtable at the Financial Summit and stated they could provide topics to discuss. Subsequent to the call, NAIC staff received discussion topics from two individuals, but it was determined that there was not enough interest from industry to hold a roundtable at this year’s Financial Summit. The Working Group plans to revisit the issue of roundtable discussions in 2008.

Action Items:

• Adopted a response to the Principles Based Reserving Working Group.